Latest Research: The State of Capital Campaigns in 2024

The Montauk Historical Society (MHS) aims to collect, restore, preserve, and display the history and culture of Montauk, New York. In 2016, the organization learned from a building assessment that the beloved Montauk Point Lighthouse needed an extensive exterior restoration that was going to cost $1.3MM. For less complex strategies, you can designate a future date in the campaign to begin planning them. Whether your organization is facing a funding freeze, an unstable economy, or a natural disaster, we’ve got you covered. Throughout the entire campaign it is important to keep your donors aware of progress since they have an investment in its success.

The Pareto Principle is Alive and Well in Capital Campaigns

Having your gift chart ready will give you a clearer idea of how much each level of donor contribution will contribute. Employee fees, attrition costs resulting from turnover, advertising, and subscription fees for online platforms are all examples of the added expenses. Thus, many organizations are surprised to discover that raising funds is itself a costly procedure. Choose a deadline that corresponds to how long you expect to collect the fundraising amount. For instance, improved financial data following fundraising may indicate that your strategy worked.

What will it cost?

Connecting with the right donors will save you time and allow you to pivot your approach as you fundraise. Along with your step-by-step guide, you should also give volunteers email and direct mail templates to use to reach out to donors. Templates will help ensure your volunteers have the correct information and branding when soliciting gifts. They also make the process faster and easier, showing consideration for your volunteers’ time and effort.

• Whether constructing a new community center or expanding existing facilities, knowing the goal gives everyone involved a clear target.
• This proactive approach will help you expand your support network and increase the likelihood of achieving your fundraising objectives.
• Generally, the bulk of your capital campaign fundraising happens during this phase.
• Organizations that perform such studies develop realistic goals and stronger cases for support.
• Therefore, you’ll likely have a less difficult time trying to persuade them to give.

Part 2: Creating the Plan — Building the Framework for Your Campaign

For instance, our church has focused on expanding our outreach programs and upgrading our facilities to better serve our congregation. By aligning with a Capacity Campaign, we aim to create a more welcoming environment for everyone who walks through our doors. Capital campaigns usually last between one to five years, depending on the goal and complexity. It can be challenging to get people to support your campaign if they don’t understand its purpose. Make sure every donor and volunteer know just how much their support means. Sending thank-you notes and/or hosting an appreciation event can go a long way in showing your gratitude.

This plan should outline specific goals, timelines, and strategies for reaching potential donors. Setting clear financial targets is essential; these targets should be realistic yet ambitious enough to inspire action. This segmentation allows nonprofits to tailor their outreach strategies effectively. For instance, major donors may require personalized meetings and detailed proposals, while smaller donors might respond better to group events or direct mail campaigns.

• One way to maintain interest is to set smaller milestones along the way.
• This will help you make your upcoming campaigns more effective with enhanced results.
• The pattern of gifts loosely reflects the general pattern in nonprofit fundraising that 80% of your goal revenue will come from 20% of your donors.
• Some organizations engage a consultant to interview their top donors to assess their willingness to support a campaign and then develop recommendations about the potential of the campaign.
• The pre-campaign planning phase is when you’ll create your campaign’s strategy and compile a list of major gift prospects.

The Silent Phase of Your Capital Campaign

The overall goal of a capital campaign is to raise money while on a strict timeframe, which may range from months to years. While these campaigns are a major undertaking, we believe that nonprofits can (and should!) make the move to invest in their growth when the timing is right. We’ve seen small and mid-size organizations successfully kick-start their next stages of growth with capital campaigns. By integrating stakeholder interviews from the start, we ensure your campaign builds community early, enhancing your ability to meet and exceed fundraising targets. No matter the size of your campaign, the gift range chart will be your primary campaign planning tool.

This is the time when you spread your campaign message as widely as possible and invite everyone in your extended community to give. By the end of the public phase, you should reach or exceed your campaign goal. We prefer to guide the organization’s leaders to conduct their own donor interviews, and then we help develop recommendations based on that process. This is a capital campaigns more cost-effective approach that further builds the relationship between the organization and its top donors.

Phase 5: Public Phase

Since your statement is for your potential supporters, it needs to be specific and cover all the questions that donors might have about your capital campaign. It should convey a sense of urgency that will help donors understand the importance of your project. Nonprofits that clearly articulate their impacts, needs and plans in a donor-centric format are most likely to meet their campaign goals. Capital campaigns differ from other forms of fundraising in that they’re massive projects that often span multiple years and can cost millions of dollars.

We’ll help you plot a path forward and determine whether Capital Campaign Pro would be a good fit for your campaign. To see some examples, check out these success stories of our own clients who ran successful mini-capital campaigns during the worst of the pandemic. Using our team’s online resources, advisor support, and weekly group calls, MHS exceeded its funding goal, raising $1.8MM dollars.

How Nonprofits Can Supercharge Summer Fundraising with Virtual Events and Consignment Items

Your capital campaign should aim to raise money for a specific project or operating expense. Inform supporters about what their gifts are supporting when you approach them with a donation request. Case for support brochures provide donors with information about your mission, project and capital campaign in a format that is easy to use. You can hand out brochures during your fundraising events or mail them to potential supporters. So, capital campaigns are generally effective, but yours will likely go better if you plan well.

One of the first things you should do when planning a capital campaign is put your case for support in writing. Create a branded case brochure that includes all of the information prospective donors need in a professional, useful package. In the aftermath of your organization’s capital campaigns, be sure to save relevant and important data to your organization’s CRM. But your work for the capital campaign isn’t quite over even after the money is raised. You still need to debrief, acknowledge your donors, thank them, and review the fundraising data from the campaign itself. Capital campaigns are not broad-based campaigns; they rely on a few large gifts in order to reach a goal that funds a specific-large scale project.